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Permanent Retirement Account Number (PRAN)
Imagine yourself retired, living comfortably with a steady stream of income. The Permanent Retirement Account Number (PRAN) can help make this dream a reality. The concept of PRAN (Permanent Retirement Account Number) was developed for the management of individual pension accounts under the National Pension System (NPS) in India. It was introduced by the Pension Fund Regulatory and Development Authority (PFRDA), which is the regulatory body overseeing pension funds in India.
PRAN helps in tracking the contributions made by individuals towards their pension accounts throughout their employment and ensures transparency and efficiency in managing pension funds. Keep reading to learn how a PRAN card unlocks a secure future for you.
What Is PRAN Card?
A PRAN card, short for Permanent Retirement Account Number card, is your 12-digit unique identifier for the National Pension System (NPS) in India. This card acts like a key, granting you access to your NPS account where you can save and invest for a financially secure retirement.
The National Securities Depository Limited (NSDL) acts as the Central Record keeping Agency (CRA) for the NPS. Applications for PRAN are submitted through the NSDL portal or Point of Presence (POP) service providers.
Why Is the PRAN Number Important?
Your Permanent Retirement Account Number (PRAN) is crucial because it allows you to manage your retirement savings efficiently. With your PRAN, you can contribute funds, track your investment growth, and ultimately claim your pension benefits at retirement.
Furthermore, the NPS offers tax benefits on your contributions, making it an attractive option for long-term financial planning.
Application Process of PRAN
Getting a PRAN is a straightforward process. You can apply online or offline. Both methods require minimal documentation, making it easy to get started on your retirement planning journey.
There is no direct cost associated with getting a PRAN itself. The application process involves minimal fees, and some might even be waived depending on where you apply. There might be an account opening charge depending on whether you apply online or offline and how you receive your PRAN card (physical or electronic). These charges are typically nominal, around ₹40 for a physical card and potentially lower for an e-PRAN. A small annual maintenance fee is levied on your NPS account, regardless of your PRAN application method. This fee is deducted from your account balance.
How to Apply for PRAN Card Online?
For a digital sign-up, visit the NPS website and follow the online registration process. You will need your PAN card, bank account details, and KYC documents. Once your application is processed, you will receive your PRAN electronically.
Here is how it works. Head to the eNPS website of NSDL-CRA.
The eNPS portal offers two options: Aadhaar and PAN. If you have an Aadhaar card, this is the fastest method. You can use your Aadhaar number and registered mobile number to authenticate and populate your details automatically. If you do not have Aadhaar, you can register using your PAN card. However, you will need to manually fill out the application form.
Next, provide your details, like name, date of birth, and contact information. Specify whether you are a resident Indian citizen, NRI (Non-Resident Indian), or OCI (Overseas Citizen of India). Choose the type of NPS account you want to open, i.e. Tier I (Pension Account) or Tier II (Savings Account).
Provide details of your nominee(s) - the person who will receive the accumulated amount in case of your demise. Choose a Pension Fund Manager (PFM) who will manage your NPS investments.
Make your initial contribution amount online through a debit card, credit card, or internet banking. If you have a valid digital signature (eSign), you can complete the registration electronically.
If you do not have eSign, you can download the completed form and submit it along with scanned copies of KYC documents (PAN, address proof, etc.) to the nearest Point of Presence (PoP) - a bank or other authorised agency facilitating NPS registration. Once the process is complete, you will receive a Permanent Retirement Account Number (PRAN) which acts as your NPS account ID.
How to Apply for PRAN Card Offline?
If you prefer an offline approach, visit a Point of Presence (POP) or your employer's nodal office. They will guide you through the application form and collect the required documents. Besides the online bit, the offline PRAN card application process is quite similar. After processing, you will receive a physical PRAN card.
Documents Required for PRAN Card Application
The documents needed for a PRAN card application are fairly simple. Typically, you'll need your PAN card, a valid photo ID proof like your passport or Aadhaar card, and address proof.
How to Activate Your PRAN Card
Once you receive your PRAN (electronically or physically), you will need to activate it. Visit the NPS portal and follow the activation steps using your PRAN and registered mobile number.
Steps to Login to PRAN Card Portal for NPS
After activating your PRAN, you can access your NPS account online. Visit the NPS portal and log in using your PRAN and password. This portal allows you to view your account details, make contributions, and manage your investments.
How to Print E-PRAN Card?
If you opted for an online PRAN application, you can download and print an e-PRAN card for your reference. Log in to the NPS portal and navigate to the download section to access your e-PRAN card.
How to Check PRAN Card Status
You can check the status of your PRAN card application online. Visit the NPS portal and use the ‘Track Application Status’ option. Enter your application details to see the current status.
How to Check PRAN Card Balance?
Once your NPS account is active, you can check your balance online. Log in to the NPS portal and navigate to the ‘View Account Details’ section to see your current balance.
How to Contact PRAN Card Customer Care?
If you have questions or need assistance regarding your PRAN card or NPS account, you can contact the NPS customer care helpline (1800 2100 080). The helpline number is also available on the NPS website.
Can I Have More Than One PRAN Card?
No, you can only have one PRAN card. Your PRAN is unique and remains constant throughout your NPS enrollment, even if you switch jobs or sectors.
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